Last updated: August 20, 2010 1:51 pm

Federal budget gets mixed review in Quebec

It's good for business but bad for workers, say groups

MONTREAL (CUP) — The federal budget, introduced last Thursday, is getting mixed reviews in Quebec. The Conservatives’ spending plan has received support from university administrators and the business community, but is being criticized by arts groups and unions.

The Conference of Rectors and Principals of Quebec Universities (CREPUQ), a group that represents administrators at all 18 universities in the province, said they were “very satisfied” with the budget.

“We are happy to see that the federal government recognizes the importance of research and development, which plays an essential role in developing high-level skills, stimulating economic development and improving productivity,” said Heather Munroe-Blum, principal of McGill and chair of CREPUQ’s board of directors, in a press release.

“The measures announced in the budget will enable universities to maintain high-level research activities and compete with the best universities in the world,” said Daniel Zizian, president and director general of CREPUQ.

The Federation of Quebec Chambers of Commerce also praised the investment in research and development. Françoise Bertrand, president of the federation, said the move would not only help businesses now but would also help Canada’s economy in the long-term.

Bertrand also praised the government’s steps to control spending. “It is important to have a credible plan and rapidly return to a balanced budget in order not to put undue financial pressure on the overall economy,” she said.

Michel Leblanc, president and CEO of the Board of Trade of Metropolitan Montreal, echoed Bertrand’s comments.

“The budget has a certain number of measures that should stimulate economic development in major urban centres like Montreal, including support to innovation, which will have an impact on long-term productivity and competitiveness in Canada.”

He also praised the Conservative plan — which has a projected deficit of $53.8 billion for this year but aims for a balanced budget by 2015 — for not including tax increases.

But not everyone is pleased with the new budget.

Quebec’s fourth-largest union federation, the Congress of Democratic Trade Unions, which represents over 60,000 people, said the budget contained almost nothing for workers.

Claude Faucher, vice-president of the congress, said that the government should have increased support for the unemployed and developed a program to provide financial support to older people who lost their jobs due to the recession and have little chance of finding another one.

He also criticized the government for freezing the salaries of civil servants, as part of the effort to return to a balanced budget, rather than reversing tax cuts.

“We find this approach particularly unjust,” he said.

Arts groups also criticized the budget. The Mouvement pour les arts et les lettres du Québec, an association which represents 20 arts groups across the province, criticized the budget for not recognizing artists and cultural workers as part of an innovative economy. In a press release, the group said this discriminates against Quebec, where they claim the “cultural economy” is an important area for innovation and jobs.